Bill > AB1339

This bill requires the California Department of Insurance to conduct a comprehensive study on property, liability, and builders' risk insurance for affordable housing entities that receive grants, loans, or tax credits from specific state agencies. The study aims to understand the challenges these entities face in obtaining insurance, including rising costs, limited coverage options, and potential discriminatory practices. The department must collect data from insurers about insurance policy offers, rate-setting considerations, and barriers to affordable housing insurance, with a specific focus on analyzing whether insurers' decisions are influenced by residents' income levels, housing assistance status, or the property's affordable housing designation. Insurers are required to provide necessary information, which will be kept confidential. Within one year of receiving appropriate funding, the Department of Insurance must submit a report to legislative insurance committees recommending policy and budget options to address insurance coverage challenges for affordable housing providers. The bill recognizes the urgent insurance market crisis affecting affordable housing, particularly highlighting the impact on low-income housing developments, and seeks to create transparency and data-driven solutions to protect state investments and housing stability. The provisions of this study will automatically expire on January 1, 2031.

Budget and Finance, Business and Industry

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB1339